88S40046 KBB-D By: Tepper H.B. No. 17 A BILL TO BE ENTITLED AN ACT relating to the establishment of an agriculture disaster relief grant program; making an appropriation. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Title 2, Agriculture Code, is amended by adding Chapter 22 to read as follows: CHAPTER 22. AGRICULTURE DISASTER RELIEF GRANT PROGRAM Sec. 22.001. DEFINITIONS. In this chapter: (1) "Category D2 drought" means a severe drought as defined by the United States Drought Monitor. (2) "Category D3 drought" means an extreme drought as defined by the United States Drought Monitor. (3) "Program" means the agriculture disaster relief grant program established by this chapter. Sec. 22.002. ESTABLISHMENT OF GRANT PROGRAM. (a) The department shall establish the agriculture disaster relief grant program to provide block grant disaster relief funding to applicants for necessary expenses related to losses of revenue by cotton infrastructure as a consequence of natural disasters involving drought for the 2022 or 2023 crop year. (b) The department shall adopt rules to implement and administer the program. Sec. 22.003. GRANT PROGRAM FUND. (a) The agriculture disaster relief grant program fund is an account in the general revenue fund. The fund is composed of: (1) money appropriated to the department for deposit to the credit of the fund; (2) money transferred by the department to the credit of the fund from other sources available to the department; and (3) gifts, grants, and donations made to the department for the purpose of the fund. (b) The fund may be used only by the department to award grants under the program. Sec. 22.004. ELIGIBILITY FOR GRANT PROGRAM. (a) To be eligible to receive a grant under the program, an applicant must meet the eligibility requirements established by department rule and show that: (1) the grant will be used to support agricultural supply chain resiliency; (2) the land for which the grant will be used is located in a county identified by the United States Drought Monitor as having a Category D2 drought for eight consecutive weeks or a Category D3 drought at any point during the 2022 or 2023 calendar year; and (3) the applicant experienced a decline of at least 30 percent in gross receipts or gross revenue in the 2022 or 2023 calendar year as compared to the previous calendar year. (b) Grants under the program may not exceed $500,000 per applicant. Sec. 22.005. EXPIRATION OF GRANT PROGRAM. This chapter expires September 1, 2025. SECTION 2. As soon as practicable after the effective date of this Act, the Department of Agriculture shall adopt rules and procedures required to implement and administer Chapter 22, Agriculture Code, as added by this Act. SECTION 3. (a) Section 8.73, Chapter 458 (S.B. 30), Acts of the 88th Legislature, Regular Session, 2023 (the Supplemental Appropriations Act), is repealed. (b) Notwithstanding Subsection (a) of this section, the Department of Agriculture may expend amounts appropriated by former Section 8.73, Chapter 458 (S.B. 30), Acts of the 88th Legislature, Regular Session, 2023 (the Supplemental Appropriations Act), for a purpose provided by the former law if the amounts were obligated for that purpose before the effective date of this Act. SECTION 4. (a) All unobligated and unexpended balances remaining as of the effective date of this Act from appropriations made by former Section 8.73, Chapter 458 (S.B. 30), Acts of the 88th Legislature, Regular Session, 2023 (the Supplemental Appropriations Act), are appropriated from the same source to the Department of Agriculture for the two-year period beginning on the effective date of this Act for the purpose of providing grants under Chapter 22, Agriculture Code, as added by this Act. (b) The comptroller of public accounts shall deposit the amount appropriated by Subsection (a) of this section to the credit of the agriculture disaster relief grant program fund created by Section 22.003, Agriculture Code, as added by this Act. SECTION 5. This Act takes effect on the 91st day after the last day of the legislative session.